Stock Market Today, June 17: Stocks Slide on Fed Rate Hike Fears

U.S. stocks fell broadly as investors reacted to a more hawkish Federal Reserve tone following the first meeting under new Chairman Kevin Warsh. The S&P 500 dropped 1.21% to 7,420.10, the Nasdaq Composite lost 1.34% to 26,021.66, and the Dow declined 0.98% to 51,492.55. Market sentiment weakened as nine of 18 Fed policymakers projected at least one rate hike this year, with six seeing two or more. Higher rates could pressure risk assets, especially tech and AI stocks, by raising borrowing costs and dampening spending. All sectors ended lower, with communications services and consumer cyclicals among the weakest. The article highlights that selective pockets remained resilient, including ASML and Broadcom, while megacap tech such as Meta, Microsoft, and Amazon came under pressure.